Advertiser Disclosure

There’s a New No-Fee 2% Credit Card in Town

Credit Cards, Promos, Rewards Credit Cards
Credit card 2% cash back
At NerdWallet, we adhere to strict standards of editorial integrity to help you make decisions with confidence. Some of the products we feature are from our partners. Here’s how we make money.

It’s a real Cinderella story: A plain credit card with an unremarkable 1% rewards rate transforms into a beautiful 2% card and turns heads.

Alliant Credit Union has announced that the Alliant Visa Platinum Rewards Card now earns an unlimited 2 points per dollar spent, up from 1 point per dollar spent. Points are worth 1 cent each when redeemed for cash back, giving the card an effective 2% rewards rate. Points can also be redeemed for merchandise, gift cards, charity and travel. The annual fee remains $0.

The card also offers other perks:

  • As low as 0% introductory annual percentage rate for 12 billing cycles on purchases and balance transfers, depending in part on your creditworthiness
  • 5,000-point bonus after spending $500 in the first three billing cycles, making it worth $50 at a penny a point.

If you can qualify for the 0% APR offer, the improved Alliant card is an especially good deal. It’s uncommon to see both a 0% purchase APR offer and a sign-up bonus — even a small one —  on 2% no-fee cards from major issuers. The Citi® Double Cash Card – 18 month BT offer, for example, lacks both.

The improvements on the Alliant Visa Platinum Rewards Card come soon after the credit union debuted a 2.5% cash-back card with an annual fee of $59, another deal that outshines the competition. Between the two cards, the 2.5% card would be a better match if you charged more than $11,800 a year.

As is the case with most credit unions, you need to be a member of Alliant to qualify for its credit cards. If don’t meet the eligibility guidelines, you can become a member by contributing to Foster Care to Success.

A previous version of this story misstated the terms for the 0% offer. It has been corrected.

Claire Tsosie is a staff writer at NerdWallet, a personal finance website. Email: claire@nerdwallet.com. Twitter: @ideclaire7.